Adoption of financial technologies rapidly benefitting financial inclusion in Sub-Saharan Africa
The adoption of mobile money and financial technologies has enhanced a rapid transition towards financial inclusion in Sub-Saharan Africa over the past few years. This has brought Sub-Saharan Africa’s population much more than just access to financial services. This has generated new and innovative services that are influential in achieving some of the key targets UN has laid under the “Sustainable Development Goals Initiative”
In 2015, the UN adopted the 2030 Development Agenda titled “Transforming our World” with goals including no poverty, quality education, gender equality, affordable clean energy, decent work, and economic growth, reduced inequality.
Irrational Innovations, a venture capital fund focused on fintech in Sub-Saharan Africa conducted a research on how financial technology is impacting this region. It was discovered that many companies are using mobile phones and financials technologies to serve and promote sustainable development. Examples include companies that supply energy through solar panels and enable payment though mobile phones, health insurance and hotlines companies facilitated through mobile-based subscriptions, financial identity and credit scoring assessed through mobile usage and behavior.